Monday, August 9, 2010

Car Shopping

By Dan Jones

Many people shake in their shoes when it comes time to buy a new car. However, it does not have to be this way. Car shopping can be a pain-free experience if the consumer is knowledgeable and well prepared for the day ahead. There are also some simple rules to follow that will make your shopping trip a huge success.

First, all car salesmen have hidden secrets which they apply when trying to sell you a car. Most people fear robberies and break-ins, so an alarm system is at the top of their wish list. However, most consumers are unaware that these simple protective devices can raise their car price hundreds of dollars. This is because the salesmen take advantage of them. Basic systems costing the dealership only $80 to $100 to install, will be charged to the buyers at a price nearing $300. The price also continues to rise as the systems get more advanced.

Dealers are also trying to get your money when convincing you to invest in an extended warranty. Typically, consumers do not know the fine print of the warranties. So, they never know how much money they are really spending. Unfortunately, by the time the warranty is up, the dealership usually would have made an amount of money that is equivalent to the value of the car. So, much money is wasted in extended warranties, and it is best to avoid these completely when possible.

After seeing the price of a car, our first intention should be to try to haggle the price lower. This gives you good insight into the type of salesman you are dealing with. If the salesman is unwilling to adjust the price at all, it is not worth it. You will be able to find a car just as good at another dealership which is willing to lower the price to something you can afford. So, never settle for what the dealer initially tells you.

A final tip when buying a new car is to do your homework. Once you find a car you like, you should compare it to other cars similar to it from other dealerships. This way, you find out if you are getting the correct value for your money and the best possible deal.

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